A DIRECT payment from a little-known $15 million pot could help some Americans buy a new home.
The opportunity could see those who meet a few criteria obtain direct payment amounts of up to $35,000.
Qualifying candidates would be classified as low-to-medium income households in Cedar Rapids, Iowa, through the city officials' mission to use $15 million from federal disaster recovery funds to create more affordable housing opportunities, per The Gazette.
Known as the Redeveloping Ownership Opportunities Together (ROOTs) program, Cedar Rapids also seeks to directly assist families affected by the August 2020 derecho (collection of severe thunderstorms) that swept the Midwest.
The money comes directly from the Community Block Grant-Disaster Recovery fund set up by the US Housing and Urban Development Department and allocated to the Iowa Economic Development Authority.
At least 76 single-family homes will be created through the program that could be obtained by applicants who qualify.
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The homes are said to be "disaster-resilient" and prepared for anything, unlike some properties during the derecho four years ago.
Officials noted that most homes in the Linn County area were damaged, and there was already limited affordable housing.
Cedar Rapids City Manager Jeff Pomeranz praised the program and financial opportunity for low-to-medium-income residents as a way for everyone to come together and help.
“It’s all levels of government working together to support community development and disaster recovery,” Pomeranz told The Gazette.
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"All of us come together and work together to create this opportunity for our residents, for our neighborhoods, for our future growth and equity within our community.”
City officials working with the ROOTs program said applications will be open for every one of the 76 homes up to a maximum price of $175,000 until each has a purchase agreement locked in.
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Construction on the properties is said to begin sometime in Spring 2024, so applicants wouldn't be able to move in immediately.
The homes will also be located throughout Cedar Rapids, and a review committee conducted an extensive review of "affordability, architectural design, green building principles, and developer experience" before submitting locations to state officials.
Each of the 76 is said to be constructed with environmentally conscious practices.
They also feature safe rooms, among other disaster-resistant features, insulation, advanced framing, and more.
APPLYING PROCESS
Those eligible must be from low-to-medium-income households falling within the annual salary range of $53,000 for one person and $106,000 for nine people.
An application can then be completed through a form on a website set up for the ROOTs program.
Once approved to buy one of the 76 properties, applicants could qualify for a $35,000 forgivable loan as a down payment.
The payment is forgiven over 15 years through monthly installments.
A forgivable lien will be placed on the home for enforcement of the loan.
It's also important to note that households directly affected by the derecho will have the first opportunities to buy homes.
BATTLING INFLATION
The process is still moving forward on time, but some builders are worried about rising inflation and construction costs getting in the way of completing the structures.
Abode Construction is building 30 of the 76, and representative Hannah Kustes stressed that they're doing what they can while speaking with The Gazette.
She also explained that the housing program is still formidable for those affected by the derecho or looking for affordable residences on low income.
“It seems to be one of those once-in-a-lifetime opportunities if you can take advantage of it,” Kustes said.
Read More on The US Sun
For more related content, check out The U.S. Sun's coverage of how some Americans can get $800 a month for two years with "no strings attached."
The U.S. Sun also has the story on those eligible for a one-time payment of $1,700.